Here is an example to record the owner's investment to start the business: Cash 54,000. o Common stock 54,000. Use the following account titles for this scenario: Accounts: o Assets: ? Cash. ? Accounts Receivable. ? Prepaid Rent. ? Office Equipment. ? Automobiles. o Liabilities: ? Accounts Payable. ? Interest Payable. ? Note Payable. o Owners Equity: ? Common stock. o Expenses: ? Automobile Expense. ? Rent Expense. ? Utilities Expense. ? Salaries Expense. ? Interest Expense. ? Telephone Expense. o Revenues: ? Service Revenue. Transactions: 1. Justine Malone invested $54,000 in cash to start the business. 2. Paid $3,000 for 3 months rent. 3. Bought a used automobile for the firm for $16,000 in cash. 4. Performed services for $3,000 in cash. 5. Paid $400 for automobile repairs. 6. Performed legal services for $3,750 on credit. 7. Borrowed $25,000 from the local bank to help expand his business. 8. Purchased office chairs for $2,100 on credit. 9. Received $1,800 from credit clients. 10. Paid $1,000 on account to reduce the amount owed for the office chairs (purchased in #8). 11. Issued a check for $560 to pay the monthly utility bill. 12. Purchased office equipment for $8,400. Paid half in cash; the remainder to be paid in 30 days. 13. Issued a check for $5,680 to pay salaries. 14. Performed legal services for $1,850 in cash. 15. Performed legal services for $2,600 on credit. 16. Collected $1,600 on accounts receivable from charge clients. 17. One months worth of rent (paid in #2 above) has expired. 18. One months interest $145 accrued on the note payable (from number 7 above